UMC Governing Board Audit & Finance Committee
Summary
Net loss $15.6M YTD; SWB 62.5% unfavorable; volumes below pre-COVID.
What Matters to Employees 10 items
Emergency purchase for COVID PPE supplies.
June loss $41.7M; FY20 loss $63.1M; July loss $8.2M.
Goals focus on income and SWB targets; removed 'meet' and 'or equal'.
Extension and rate increase for managed care.
Emergency staffing for nurses and lab techs due to COVID surge.
Extension option exercised; compensation unchanged.
Emergency lease for non-essential supplies.
Staff augmentation for med techs and couriers.
Consolidated orthopaedic on-call and clinical services.
New contract for primary care and infectious disease.
All Agenda Items 6 items
Net loss $7.4M month, $15.6M YTD; SWB 62.5% unfavorable.
One-year extension for remote hosting of lab millennium program.
Allows Walmart to dispense 340B medications for UMC.
Updates imaging system used for surgery.
Replaces incompatible equipment; trade-in allowance included.
Upgrade to track supplies, trends, and improve pricing leverage.
Related Historical Findings
CEO bonus hinges on holding down staff wages while hospital posts profit goal.
CEO bonus tied to keeping staff wages below $2,449 per patient day or 66.17% of revenue.
"Goal No. 2: Actual SWB per Adjusted Patient Day is less than or equal to $2,449 or Actual SWB as a percentage of net operating revenue is less than 66.17%."
Replace doctors with cheaper staff while hospital posts $15.6M loss.
Replace physicians with NPs and LPNs at quick cares.
"the plan is to replace physicians with nurse practitioners and change the skill mix to include LPNs, improve efficiencies and restructure data processes."